Texas Instruments 2005 Annual Report Download - page 30

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Effect on the Statements of Income and Balance Sheets
Net periodic benefit cost of the defined benefit and retiree health care benefit plans was as follows:
U.S.
Defined Benefit Retiree Health Care Non-U.S.
Defined Benefit
2005 2004 2003 2005 2004 2003 2005 2004 2003
Service cost .................................... $29 $27 $28 $5$2$2$46 $52 $50
Interest cost .................................... 42 43 43 22 22 20 47 45 40
Expected return on plan assets ................. (47) (47) (40) (20) (15) (19) (46) (44) (35)
Amortization of prior service cost .............. ——— 3(4) (2) (2) 11
Amortization of transition obligation ............ ———————12
Recognized net actuarial loss .................. 24 21 21 810 3 23 21 23
Net periodic benefit cost ....................... 48 44 52 18 15 4 68 76 81
Settlement, curtailment, and special
termination benefit charges .................. 9684—3——11
Total including charges ......................... $57 $50 $60 $22 $15 $ 7 $68 $76 $92
For the U.S. plans, the expected return on plan assets component of net periodic benefit expense is based upon the
market-related value of assets. In accordance with U.S. GAAP, the market-related value of assets utilizes a smoothing
technique whereby investment gains and losses that differ from plan assumptions are phased into the value over a
period of three years.
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TEXAS INSTRUMENTS 2005 ANNUAL REPORT